EIB agrees €100m fund for renewable energy in South Africa

The European Investment Bank (EIB) has agreed a deal with Investec to establish a €100 million (£86 million) fund for renewable energy in South Africa.

Used to promote clean energy generation and energy efficient initiatives, the money will bolster the South African government's recent Green Economy Accord.

Both Investec and the EIB will contribute equally, and the money will be made available for disbursement to selected projects across the country, with the former being responsible for choosing the schemes.

Investec's Fazel Moosa said that the firm's "significant global and local experience in project finance for the renewable energy space as well as its current investment pipeline were instrumental" in finalising the deal.

Plutarchos Sakellaris, the EIB's vice president, highlighted the importance of energy efficiency for economic growth around the world.

The South African Development Community (Sadc) recently launched a climate change strategy for the country's water sector at the 17th Conference of the Parties.